After a hyped launch of the Samsung Galaxy Nexus phone, the volume bug in the phone certainly left a sour taste amongst early customers, some of whom voiced their concerns on Android user forums. While Google (NASDAQ:GOOG) and Samsung have acknowledged the issue, they might feel some respite as even arch rival Apple (NASDAQ:AAPL) is working on fixing its iOS 5 bug.
See our full analysis for Google’s stock
Initial Glitches are not Unheard of
The bug involves the Nexus’ volume abruptly changing, leading to a break in calls and text notifications. [1] The problem is specifically happening with 2G networks, which are widely in use in Europe. While Samsung has ensured that it would update the devices as soon as possible, it’s not very clear whether the bug is a hardware or software one.
Whatever the case is, the Nexus bug has already led to some bad PR already, as angry users have posted a plethora of comments on internet forums worldwide. [2] Initial technical glitches however, are not as rare in the smartphone industry, with even Apple coping with the battery-draining bug in the iOS 5. [3] Bad press aside, we would expect this bug to be more of a short-term deterrent, as Google could not have chosen a better partner to launch the Android 4.0 than Samsung, which recently became the largest smartphone maker in the world.
We currently have a price estimate near $628 for Google’s stock, which is around 10% above the current market price.
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